Texas regulators have begun consideration of the application and are raising questions about the utility’s collection of hundreds of millions of dollars from ratepayers that, under standard ratemaking treatment, would normally be committed to pay federal taxes, but would not be paid using the REIT model. Texas Commissioner Brandy Marty Marques indicated concern with the proposed financing structure expressing interest in a plan which would allow for ratepayers and shareholders to share the benefits of the unique financing structure.

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